Wu Bangguo (C), chairman of the Standing Committee of
China's National People's Congress (NPC), holds the First plenary session of the
sixth session of the 11th NPC Standing Committee at the Great Hall of the People
in Beijing, China yesterday.- Xinhua
China announced plans yesterday to establish a social security number system
for the welfare of its citizens.
The draft of the social insurance law was discussed by the Standing Committee
of the 11th National People's Congress, the country's top legislature yesterday.
The draft said China would establish a standard social security number system
across the nation by using each citizen's current identification card number.
The social insurance fund will be categorized into endowment insurance,
medical insurance, insurance against injury at work, unemployment insurance and
childbirth insurance, the draft said.
Currently, China's social insurance fund is managed by the Ministry of Human
Resources and Social Security and its branches in provinces, municipalities and
autonomous regions.
According to the country's labor law, the funding of endowment, medical and
unemployment insurance is raised by both individuals and their employers.
Workplace injury and childbirth insurance have to be paid by employers.
A series of social insurance fund embezzlement scandals have been exposed in
China since 1998. More than 16 billion yuan (about US$2.3 billion) was
embezzled.
The new social insurance law's draft said any individual or organization has
a right to complain or report illegalities about the social insurance fund. The
measure is an endeavor to invite more supervision of the citizen's basic
security.
The draft also determined that a new type of rural medical system, in which
farmers and governments raise funds together, would be included in the medical
insurance.
Governments will cover medical insurance expenses for citizens who live on
low-income subsidies, have serious disabilities or are older than 60 years, the
draft said.